Mercedes 2004 Annual Report Download - page 40

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36
Capital expenditure
Last year, the DaimlerChrysler Group invested a total of €6.4
billion in property, plant and equipment (2003: €6.6 billion). The
focus of the investments of €2.3 billion by the Mercedes Car
Group was on expanding the plants in Rastatt and Tuscaloosa for
the production of the new A-Class and M-Class vehicle families,
production preparations for the next S-Class model, and the
expansion of production facilities for the new diesel and gasoline
engines. The Chrysler Group’s investments of €2.6 billion were
primarily applied to prepare for the production of nine new mod-
els launched in 2004 and at least five additional models to come
in the year 2005. Furthermore, investments were made in the
plants in order to enhance their efficiency and flexibility in pro-
duction. Important projects in the Commercial Vehicles division,
which invested a total of €1.2 billion, included the new Euro-4
trucks engines and preparations for the successor to the Sprinter.
Research and development
Research and development expenditure totaled €5.7 billion in
2004 (2003: €5.6 billion). Of this total, €2.6 billion was account-
ed for by the Mercedes Car Group. This division’s most important
projects were the B-Class and R-Class sports tourers and the
successors to the M-Class and S-Class models. Research and
development work at the Chrysler Group was influenced by the
product offensive; efficiency improvements were achieved once
again in terms of the yield on the funds applied. R&D expenditure
of €1.6 billion by the Chrysler Group was lower than the prior-
year level. €1.2 billion was applied for research and development
by Commercial Vehicles (2003: €0.9 billion), where the increase
over the prior year was primarily a result of consolidating Mit-
subishi Fuso Truck and Bus Corporation. The division’s most
important projects included the successor to the Sprinter and
the new engine family for heavy trucks. Some additional areas of
R&D activities at DaimlerChrysler were new drive-system tech-
nologies, especially hybrid drives and fuel cells, and electronic
systems designed to enhance traffic safety (see pages 74 f).
In millions
2004
€€
5,658
2,634
1,570
1,226
228
5,571
2,687
1,689
946
420
2003
Research and Development Expenditure
2004
US $
7,660
3,566
2,125
1,660
309
DaimlerChrysler Group
Mercedes Car Group
Chrysler Group
Commercial Vehicles
Other Activities 1
In millions
2004
€€
6,386
2,343
2,647
1,184
91
134
6,614
2,939
2,487
958
76
169
2003
Investments in Property, Plant and Equipment
2004
US $
8,645
3,172
3,584
1,603
123
181
DaimlerChrysler Group
Mercedes Car Group
Chrysler Group
Commercial Vehicles
Services
Other Activities 1
Factor Input
1 2003 figures include discontinued operations (MTU Aero Engines).
1 2003 figures include discontinued operations (MTU Aero Engines).
Purchasing Volume by Division
Mercedes Car Group 38
Chrysler Group 32
Commercial Vehicles 26
Other Activities 4
In %